FPE — First Trust Preferred Securities and Income ETF
Preferred & Convertible Ranked #329 of 458 tracked ETFs · Issued by First Trust
FPE Price Performance — Growth of $10,000
Value of a $10,000 investment in FPE over time, compared with SPY. Both lines are rebased to $10,000 on the first shared date. Based on total returns — prices are adjusted for dividends and splits, so this assumes distributions were reinvested. Hover or tap the chart for exact values.
FPE Drawdown
The "underwater" chart: FPE's decline from its highest prior value at each point in time. It shows how deep past losses ran and how long the fund took to recover to break-even.
What If You'd Invested in FPE?
See what a lump sum in FPE would have grown to, with the option to add a regular monthly contribution on top. Figures use total returns — dividends are assumed reinvested.
Past performance doesn't predict future results. Assumes contributions on the first trading day of each month, no trading costs or taxes, and reinvested distributions. History is limited to the range published in the site's daily return data.
Overview
The First Trust Preferred Securities and Income ETF (FPE) is managed by First Trust and operates within the Preferred & Convertible category, which contains 8 ETFs tracked by ETFValuer. With assets under management totaling $6.32 billion and a share price of $17.75, the fund represents a significant presence relative to the small size of its specific category. It holds an overall rank of #329 out of 458 tracked ETFs across all categories and has received an ETFValuer grade of C with a score of 54.6 out of 100. The fund carries an expense ratio of 0.83% while offering a dividend yield of 5.96%, indicating a focus on income generation. The combination of substantial assets and a mid-tier ranking suggests established investor adoption despite the fund's moderate overall performance rating.
Over the short term, the fund has experienced negative returns, with declines of -0.45% over one day, -0.67% over one week, and -0.23% over one month. The three-month return extends this negative trend to -0.57%, while the six-month period shows a slight recovery to -0.08%. Year-to-date performance has turned positive at +0.40%, and the one-year return has accelerated significantly to +5.71%. This positive momentum continues into the longer term, with the three-year return reaching +30.59%. The data illustrates a clear divergence where short-term volatility has been offset by stronger gains over the one-year and three-year horizons.
FPE is classified with a Very Low volatility label and maintains a beta of 0.72, suggesting the fund moves less than the broader market. Despite this lower sensitivity to market swings, the fund recorded a maximum drawdown of -4.65% during the measured period. The Sharpe ratio of 0.18 indicates that the risk-adjusted returns have been relatively modest given the volatility experienced. This combination of low beta and low volatility with a negative maximum drawdown implies the fund has provided some downside protection while generating limited excess return per unit of risk. The profile suggests a defensive behavior in neutral market conditions with constrained downside but also limited upside acceleration relative to risk taken.
AI-generated summary based on the data on this page.
FPE Top Holdings
| # | Holding | % of Net Assets | Value |
|---|---|---|---|
| 1 | BANK OF AMERICA CORP | 2.52% | $161M |
| 2 | WELLS FARGO & COMPANY | 2.07% | $132M |
| 3 | BARCLAYS PLC | 1.65% | $105M |
| 4 | NEXTERA ENERGY CAPITAL HOLDINGS INC | 1.40% | $89M |
| 5 | JP MORGAN CHASE & COMPANY | 1.35% | $86M |
| 6 | XCEL ENERGY INC | 1.25% | $80M |
| 7 | CREDIT AGRICOLE SA | 1.23% | $78M |
| 8 | CITIGROUP INC | 1.20% | $76M |
| 9 | BNP PARIBAS SA | 1.13% | $72M |
| 10 | T-MOBILE USA INC | 1.09% | $69M |
Holdings as of 2026-04-30 per the fund's most recent SEC N-PORT-P filing. Top 10 holdings make up 14.9% of net assets — a rough gauge of concentration risk (the higher this figure, the more the fund's return depends on a handful of names). To see how FPE's holdings overlap with other ETFs you own or are considering, check the Stock Overlap tool.
Which Funds Overlap With FPE
Holding two funds that own the same companies adds cost and complexity without adding much diversification. These tracked ETFs share the most names with FPE's top 10 — XLF overlaps most, holding 3 of the same companies as FPE's top 10 (5.8% of FPE's assets).
| ETF | Name | Shared Companies | FPE Weight | Examples |
|---|---|---|---|---|
| XLF | State Street Financial Select Sector SPDR ETF | 3 | 5.8% | BANK OF AMERICA CORP, WELLS FARGO & COMPANY, CITIGROUP INC |
| VFH | Vanguard Financials Index Fund ETF Shares | 3 | 5.8% | BANK OF AMERICA CORP, WELLS FARGO & COMPANY, CITIGROUP INC |
| FNCL | Fidelity MSCI Financials Index ETF | 3 | 5.8% | BANK OF AMERICA CORP, WELLS FARGO & COMPANY, CITIGROUP INC |
| IYF | iShares U.S. Financials ETF | 3 | 5.8% | BANK OF AMERICA CORP, WELLS FARGO & COMPANY, CITIGROUP INC |
| VCSH | Vanguard Short-Term Corporate Bond Index Fund ETF Shares | 3 | 5.7% | BANK OF AMERICA CORP, WELLS FARGO & COMPANY, T-MOBILE USA INC |
Compares the top 10 reported holdings of each fund, so it's a floor on true overlap — two S&P 500 trackers overlap ~100% even when only 10 names are listed. Use the Stock Overlap tool to search by individual company.
Market Backdrop
10-Year Treasury Yield: 4.71% (as of 2026-07-23) — The yield on 10-year US Treasury bonds — the standard "risk-free rate" benchmark used to contextualize this fund’s Sharpe ratio and returns.
CBOE Volatility Index (VIX): 18.70 (as of 2026-07-23) — A real-time gauge of expected S&P 500 volatility over the next 30 days — useful context for this fund’s own volatility label.
Federal Funds Rate: 3.63% (as of 2026-06-01) — The Federal Reserve’s target policy rate, which anchors short-term borrowing costs across the economy.
What FPE's Fees Cost You
FPE charges an expense ratio of 0.83% a year, deducted automatically from the fund's value. Small percentages compound into real money — adjust the figures below to see the impact on your own numbers.
Assumes a constant gross return and no additional contributions — a simplification, but it isolates exactly what the expense ratio costs. Try the full fee calculator to model contributions and compare any two funds.
FPE Dividend Income Estimator
FPE currently yields 5.96%. Enter an amount to see the income that implies, or set a monthly income target to see the investment it would take.
Based on the fund's current trailing yield, which varies with price and distributions — treat it as an estimate, not a guarantee. Yields are not adjusted for tax.
FPE Liquidity, Domicile & Tax Treatment
Liquidity: Quoted bid/ask spread is 2.70% and average daily volume is 1.0M/day. Tighter spreads and higher volume mean lower round-trip trading costs; this is a live-market snapshot and can widen during volatile sessions. AUM of $6.32B provides ample scale, supporting tight spreads and issuer commitment to keep the fund open.
Domicile & tax treatment: FPE is a US-domiciled, SEC-registered ('40 Act) exchange-traded fund. Dividends and capital gains distributions are reported to US investors on Form 1099-DIV, and the fund is not subject to the PFIC reporting or UCITS-specific rules that apply to Irish- or Luxembourg-domiciled funds. Non-US investors should note that US-domiciled ETFs are generally subject to 30% US withholding tax on dividends (unless reduced by treaty) and to US estate tax exposure on the position — Irish-domiciled UCITS ETFs tracking the same index often avoid both, which is why non-US residents frequently prefer the UCITS equivalent where one exists. This is general information, not tax advice — consult a tax professional for your situation.
FPE Performance History
| Period | Return |
|---|---|
| 1-Day | -0.45% |
| 1-Week | -0.67% |
| 1-Month | -0.23% |
| 3-Month | -0.57% |
| 6-Month | -0.08% |
| YTD | +0.40% |
| 1-Year | +5.71% |
| 3-Year | +30.59% |
How FPE Compares to Other Preferred & Convertible ETFs
| Rank | Grade | Ticker | Name | 1-Year | Exp. Ratio | AUM |
|---|---|---|---|---|---|---|
| #28 | B+ |
ICVT | iShares Convertible Bond ETF | +26.78% | 0.2% | $7.53B |
| #99 | B |
CWB | State Street SPDR Bloomberg Convertible Securities ETF | +22.91% | 0.4% | $6.20B |
| #329 | C |
FPE | First Trust Preferred Securities and Income ETF | +5.71% | 0.83% | $6.32B |
| #344 | C |
PFXF | VanEck Preferred Securities ex Financials ETF | +5.58% | 0.4% | $2.63B |
| #365 | C |
PFF | iShares Preferred and Income Securities ETF | +2.11% | 0.45% | $13.1B |
| #373 | C |
PFFD | Global X U.S. Preferred ETF | +2.55% | 0.23% | $2.15B |
| #389 | D |
PGX | Invesco Preferred ETF | +1.81% | 0.5% | $3.86B |
| #402 | D |
PSK | State Street SPDR ICE Preferred Securities ETF | +1.10% | 0.45% | $708M |